Network Marketing: Can You Make Real Money?

The question that is on everyone’s mind who ever had a friend or family member approach them about a network marketing opportunity: Can I really make money? I mean, real money? At least that was my initial reaction. That is how I felt when my wife left her corporate sales job and started making money off network marketing. I thought: “ok, great, glad you are doing well,” but I still did not see the larger vision of how this is truly scalable. That is, until she continued to scale her business bringing home larger commission checks and expanding her team beyond simply friends and family. Ok, maybe there’s something to this, let me do my own research.  

I started with the basics: what exactly is network marketing and why does it get labeled as “just another pyramid scheme” by some people?  Wikipedia describes network marketing as: "a marketing strategy in which the sales force is compensated not only for sales they generate, but also for the sales of the other salespeople that they recruit."

OK, pretty straight forward. Entrepeneur.com furthers this definition by saying it is all about leverage. Simply put, by sponsoring people and teaching them to sponsor people you can increase the number of work hours you get paid for. Similar to Multiplicity starring Michael Keaton – your efforts start to compound and, in essence, you are getting paid to do many jobs at once, but with a fraction of the effort. You multiply yourself many times over.  

Network marketing provides real, desirable products with low start-up costs and overhead to start your own business. With social media and various marketing acquisition strategies, you are now no longer handcuffed to hosting local parties and only discussing this with friends and family – you can reach across the globe and connect and collaborate with people you have never and may never meet. One other small note - It’s a $178B industry that pays out 40% of their revenue in commissions:

What it is not.  Network marketing is not a pyramid scheme. Pyramid schemes, again according to Entrepeneur.com, are illegal enterprises. Those who join can only make money at the expense of someone losing theirs. Not so with network marketing – your upline has a vested interest in you making as much money as possible. Pyramid schemes also have no real product. They sustain themselves through recruiting new people and charging high enrollment fees. Similar to Bernie Madoff and his own ponzi scheme, there is no substance. Without that constant cash flow to pay off previous enrollees, the house of cards comes crashing down.

So with a little research I knew a little bit about the field, but then what? I knew my wife found one she likes, but there must be hundreds of network marketing companies. How do people choose the right one? What’s the criteria?  Turns out I was wrong. There are not hundreds…there are actually THOUSANDS. I learned that every year about 1,000 new network marketing companies are developed and 90% of them fail. What I found even more surprising is that what it comes to the health and performance industry only: 

80 have hit 100 million in sales a year

50 have hit 300 million in sales a year

5 have hit 300 million and continued to grow in their domestic market 

Ok, so the fields a little narrower and attrition is culling the viable companies from the herd. But there were still many companies, many verticals to choose from: weight loss, anti-aging, gold, skin care, home goods, etc, etc. I wanted to choose the best company in the best field that I could put my efforts behind. I discovered that the weight loss vertical was a $586B worldwide industry in 2014, and the global anti-aging market is going to be worth $191B by 2019. Those are some growth numbers I could get behind.

So now choosing the company. Who are the top network marketing companies in terms of revenue and in the vertical I see the most potential in? Equally important, which ones pay their reps the most in commissions??

Here are my findings: The following chart shows the top network marketing companies by their revenue for 2015. If you'd like to do a comparison to see what companies have grown and what have lost market share, compare the  2013 revenue list and 2014 revenue list

But of these top weight loss and anti-aging companies, whose associates are making the most money? Check out the top 200 income earners in network marketing as of October 2014 and March 2015.

The chart is too large to add, but please check the website yourself.  Isagenix is represented 14 times including number 27, Herb and Patty Capeda, total yearly income - $3.36M.  Isagenix also has 178+  millionaires (**individuals who have earned an cumulative of $1Mil+; timeframe for each individual varies).  Additionally, with their Product B, their telomere support solution, they are tapping into the growing multi-billion dollar anti-aging industry. This rounds out their weight loss, performance and energy products vey well.

Now, my wife would argue Isagenix over the competition because of her quality standards. That is, some competitive products contain corn syrup, food dyes, conventionally farmed whey, etc.  When she got down to her finalist, she even called each company's manufacturers (yep, she really does that!), and many wouldn’t disclose where their whey was sourced from.  She would then point to Isagenix having grass-fed, undenatured whey and higher quality standards.

Now all that is inarguably very important, but being in the corporate sales world, first in software then in media for 10 years, I needed to do my own research. And I believe I have: There is enormous opportunity for those who wish to partake in network marketing, and you can not go wrong with choosing a company like Isagenix with high growth, high payouts, and a high percentage of six and seven-figure income earners.  

The start-up costs to access this multi-million dollar opportunity are also extremely low. Most business and equity investments cost thousands if not tens of thousands of dollars, and take years to see a return. With Isagenix, you have the ability to grow a multi-million dollar business, with an initial investment under $600.  What’s even better, you are literally consuming that investment in the form of high quality nutritional supplements and protein.  This for me caused weight loss, increased energy, and more lean muscle then I had seen with any other nutritional products. 

Have more questions? 

I would be happy to discuss the business opportunity more with you. Please feel free to contact me at andrew@globalentrepreneur.guru or on LinkedIn


Earnings Disclaimer

**Earning levels for Isagenix® Independent Associates that appear in this publication are examples and should not be construed as typical or average. Income level achievements are dependent upon the individual Associate’s business skills, personal ambition, time, commitment, activity and demographic factors. For average earnings, see the Isagenix Independent Associate Earnings Statement found at www.IsagenixEarnings.com.

Isagenix Millionaires are defined as Isagenix Associates who have cumulatively earned $1 million or more with Isagenix.

Information for General Purposes Only

Information provided on this Web site and on all publications, packaging, and labels is for general purposes only and designed to help you make informed decisions about your health. It is not intended to substitute advice from your physician or health-care professional.